1. A. Suppose Guyana Water Inc. (GWI) faces the market demand and cost function below, calculate the optimal price regulation that would be imposed if no subsidy is given? P = 525 - 6q TC = 250q - q2 a.$112.50 b.$360.00 c.$195.00 d.$998.61 B. Calculate if price subsidy was given a.$112.50 b.$360.00 c.$195.00 d.$998.61 Calculate the value of the subsidy needed if the first-best price regulation has been imposed? P = 525 - 6q TC = 250q - q2 a.$181.25 b.$5671.88 c.$4726.56 d.$195.00